New management of Danamon to keep old lending strategies
New management of Danamon to keep old lending strategies
Rendi A. Witular, The Jakarta Post, Jakarta
The new management of Bank Danamon has pledged it will maintain
lending strategies laid out by the previous team, focusing on
loans for the consumer, commercial, and small and medium
enterprise (SME) sectors.
Newly appointed bank president Francis Andrew Rozario said
that the country's fifth largest bank had been successful in
these areas.
"We think Danamon is on track to achieve the plan that was
developed by the (previous) management. And we would like to
continue the success made in these areas," Rozario announced
after an extraordinary shareholders meeting on Monday.
Analysts have said that the move by the publicly listed bank
to focus on loans for these sectors was made amid the huge risk
in channeling credit to the corporate sector.
Around 79 percent of the bank's nonperforming loans last year,
equal to around Rp 635 billion (US$77.9 million), was linked to
the corporate sector.
The shareholders meeting was held to reshuffle the bank's
management after a new consortium led by Singapore's Temasek
Holdings Pte. Ltd. became the majority owner of the bank.
The consortium, called Asia Financial Indonesia, bought a 51
percent stake from the Indonesian Bank Restructuring Agency
(IBRA) for Rp 3 trillion last month.
Rozario, which represents the new owner, was recruited from
Citibank. His last position during his 28-year career at the
bank was as global head of the SME and commercial section for
Citigroup International in London.
He succeeded Arwin Rasyid, who led Bank Danamon for about
three years.
Shareholders also appointed Emirsyah Satar as vice president
and reappointed four other directors.
Satar is currently the finance director of Indonesian flag
carrier Garuda Indonesia.
The new management still has to undergo screening by the
central bank before officially taking up their posts.
Rozario also hinted that the consortium might increase its
stake in Bank Danamon by purchasing the remaining shares held by
IBRA.
The agency still owns more than 48 percent of the bank, and is
planning to unload around 20 percent in the near future.
When asked whether the bank would be negatively impacted by
the current fall in interest rates, Rozario explained that it
would not likely affect Danamon because the bank's business had
been broadened to include diversified products.
Eyebox
Danamon's new line up
President director : Francis Andrew Rozario
Vice president director : Emirsyah Satar
Directors : Jerry Ng
Muliadi Rahardja
Gatot Mudiantoro Suwondo
Prasetio
Anika Faisal
President commissioner : Sim Kee Boon
Vice president commissioner : I Nyoman Sender
Commissioners : Sri Adiningsih
Sumarno Surono
Milan Robert Shuster
Harry Sukadis
Jimmy Phoon Siew Heng
Edwin Gerungan
Rajan Raju Kankipati
Gan Chee Yen